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Final Words

With 3 major launches in under 3 months it seems like I’ve written he same thing time and time again, and that wouldn’t be an incorrect observation. By being the first to deploy 28nm GPUs AMD has been enjoying a multi-month lead on NVIDIA that has allowed them to set their own pace, and there’s little NVIDIA can do but sit back and watch. Consequently we’re seeing AMD roll out a well-orchestrated launch plan unhindered, with AMD launching each new Southern Islands card at exactly the place they’ve intended to from the beginning.

At each launch AMD has undercut NVIDIA at critical points, allowing them to push NVIDIA out of the picture, and the launch of the Radeon HD 7800 series is no different. AMD’s decision to launch the 7870 and 7850 at roughly $25 to $50 over the GTX 570 and GTX 560 Ti respectively means that NVIDIA’s cards still have a niche between AMD’s price points for the time being, but this is effectively a temporary situation as NVIDIA starts drawing down inventory for the eventual Kepler launch.

Starting with the Radeon HD 7870 GHz Edition, AMD is effectively in the clear for the time being. At roughly 9% faster than the GTX 570 there’s little reason to get the GTX 570 even with the 7870’s price premium; it’s that much faster, cooler, and quieter. With the launch of Pitcairn and the 7870 in particular, GF110 has effectively been removed from competition after a nearly year and a half run.

As for the Radeon HD 7850, things are not so clearly in AMD’s favor. From a power perspective it's by far the fastest 150W card you can buy, and that alone will earn AMD some major OEM wins along with some fans in the SFF PC space. Otherwise from a price perspective it’s certainly the best $250 card you can buy, but then that’s the catch: it’s a $250 card. With GTX 560 Ti prices starting to drop below $200 after rebate, the 7850 is nearly $50 more expensive than the GTX 560 Ti. At the same time its performance is only ahead of the GTX 560 Ti by about 9% on average, and in the process it loses to the GTX 560 Ti at a couple of games, most importantly Battlefield 3 by about 8%. AMD has a power consumption lead to go along with that performance lead, but without retail cards to test it’s not clear whether that translates into any kind of noise improvements over the GTX 560 Ti. In the long run the 7850 is going to be the better buy – in particular because of its additional RAM in the face of increasingly VRAM-hungry games – but $199 for a GTX 560 Ti is going to be hard to pass up while it lasts.

Of course by being in the driver’s seat overall when it comes to setting video card prices AMD has continued to stick to their conservative pricing, both to their benefit and detriment. The 7800 series isn’t really any cheaper than the 6900 series it replaces; in fact it’s probably a bit more expensive after you factor in the rebates that have been running on the 6900 series since last summer. But these prices stop the bleeding from what has been an aggressive price war between the two companies over the last 3 years, which is going to be of great importance to AMD in the long run.

Nevertheless we’re largely in the same situation now as where we were with the 7700 series: AMD has only moved a small distance along the price/performance curve with the 7800 series, and they’re in no particular hurry to change that. But if nothing else, on the product execution side of things AMD has done a much better job, getting their old cards out of the market well ahead of time in order to keep from having to compete with themselves. As a result your choices right now at $200+ are the 7800 and 7900 series, or last-generation Fermi cards. Otherwise we’re in a holding pattern until AMD brings prices down, which considering Pitcairn is the replacement for the Barts-based 6800, could potentially be quite a reduction in the long run.

Wrapping things up, at this point in time AMD has taken firm control of the $200+ video card market. The only real question is this: for how long? AMD enjoyed a nearly 6 month lead over NVIDIA when rolling out the first generation of 40nm DX11 cards, but will they enjoy a similarly long lead with the first generation of 28nm cards? Only time will tell.

Overclocking: Gaming & Compute Performance
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  • medi01 - Monday, March 05, 2012 - link

    AMD released cards that are better than competitors in all areas: pricing, power consumption, performance, yet he found a way to be "dissapointed"

    You can't reason with fanboi.
    Reply
  • Kiste - Monday, March 05, 2012 - link

    You're the one who seems obsessed with which company releases the "better cards".

    I'm merely commenting on the 78xx line of cards, which I find underwhelming in terms of price/performance ration - and I am not alone wiht this if you bothered reading the other comments here.

    So who's the fanboy?
    Reply
  • formulav8 - Monday, March 05, 2012 - link

    You are. Your annoying as well. Reply
  • chizow - Monday, March 05, 2012 - link

    Try laying off the personal attacks and focus on the arguments instead.

    I don't see how anyone can defend the pricing of AMD's 7 series stack in good conscience though, if roles were reversed and Nvidia were the one doing this, EVERYONE would be disappointed too I'm sure.
    Reply
  • Kaboose - Monday, March 05, 2012 - link

    wasn't it everyone who said the 6000 series was too expensive back in october of 2010 and when Nvidia released the 500 series prices would come down a lot, then Nvidia released the 500 series right in between what AMD had and neither company really lowered prices for months. I think we will keep seeing more of that when the 600 series is released. This way BOTH companies profit. Reply
  • chizow - Monday, March 05, 2012 - link

    Not sure what you're referring to, Nvidia launched GTX 570/580 before AMD launched the 6-series.

    And no Nvidia didn't raise prices on their 470/480 at the time which were at the same price points even though the 500 series extended that lead.

    AMD priced the 6000 series accordingly, and I don't recall anyone complaining other than being disappointed it didn't offer more performance.
    Reply
  • SlyNine - Monday, March 05, 2012 - link

    5870 user here. What everyone defending the 7xxx node change doesn't consider that most of us dissopointed in SI are compairing it to other fab shrinks. Reply
  • Iketh - Monday, March 05, 2012 - link

    You're on nvidia's payroll. Get off this site. Reply
  • sseemaku - Monday, March 05, 2012 - link

    Are engineers in nvidia thinking in the same way and not releasing their cards! Good for AMD. Reply
  • medi01 - Monday, March 05, 2012 - link

    7850 outperforms 570 while costing 80$ less.
    nFanboi much?
    Reply

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